By Dan Hofstad
Last fall, the U.S. Department of Agriculture’s Risk Management Agency announced a new insurance plan for dairy producers. The new “Dairy Revenue Protection,” program provides insurance on a quarterly basis for the difference between the final revenue guarantee and actual milk revenue if prices fall.
It is an interesting and volatile time in the European dairy sector. As the European Union (EU) scales back planks of its common agricultural policy (CAP), a new market reality is emerging.
The removal of quotas and other centralized price controls means that Europe is becoming a more liberalized market for dairy.
Summer flew by. The kids are back in school, late-season scouting is complete and crop tours are in full swing. It’s hard to read the news these days without hearing about ‘bigger than ever’ yield estimates from across the U.S.
During a period of low prices like the one we are currently facing in the global coffee market, producers and trading houses are confronted with a conundrum. How do you strike a balance between over-committing your volume at the first sign of higher prices and missing out on a rally by waiting too long?
By: Jeremy Barron
We all know the USDA monthly crop production report is the single most important data set in the agriculture business. But for the full picture, we rely on three major USDA reports throughout the year:
- Planting Intentions (March)
- Final Planted Acreage (June)
- Final Production (January)
Putting the pieces together with the data shared in these reports can be tricky.
By: Rob Wolter
By now you’ve noticed: food commodity prices have started to move up a bit over the last few months. Corn, wheat and dairy product prices are all up since late 2017.
And, it has more than a few people on edge as buyers leave the annual Sosland Purchasing Seminar in Kansas City.
By: Dan Hofstad
Dairy commodity markets have traditionally been hindered by low liquidity and volatile futures prices. And typically, dairy products comprise a sizable portion of cost-of-goods-sold for many consumer-packaged goods (CPG) companies and food manufacturers. This presents a challenge for those in charge of managing their company’s price risk management programs.